Today’s Mortgage and Refinance Rates: May 16, 2022

Interest Rates

Mortgage rates have stayed above 5% for several weeks. As long as inflation is a concern and the Federal Reserve works to curb rapid price growth, rates are likely to remain high. Most experts expected mortgage rates to rise this year, but they did so far quicker than expected, with 30-year fixed loan rates surpassing 5% for the first time in more than a decade in April.

“I believe the rates being above 5% will become a norm, and I don’t see a significant downward movement in the near future,” says Ralph DiBugnara, president of Home Qualified and senior vice president of Cardinal Financial.

The latest inflation data for April shows a little decrease in annual inflation to 8.3 percent, but this does not always mean we have reached the apex. There is no likelihood of returning to the glory days of low mortgage rates as long as inflation continues.

Mortgage rates today

Mortgage typeAverage rate today
30-year fixed5.12%
20-year fixed4.69%
10-year fixed4.14 %
7/1 ARM4.80%
5/1 ARM4.42 %
30-year FHA4.20%
30-year VA4.44 %
This information has been provided by Zillow. See more mortgage rates on Zillow

The current average 30-year fixed mortgage rate climbed 2 basis points from 5.09% to 5.11% on Monday, Zillow announced. The 30-year fixed mortgage rate on May 16, 2022, is up 5 basis points from the previous week’s average rate of 5.06%. Additionally, the current national average 15-year fixed mortgage rate decreased 2 basis points from 4.16% to 4.14%. The current national average 5-year ARM rate is up 5 basis points from 4.37% to 4.42%.

Refinance rates today

Mortgage typeAverage rate today
30-year fixed4.95%
20-year fixed4.78%
10-year fixed4.15 %
7/1 ARM4.70 %
5/1 ARM4.40 %
30-year FHA4.20%
30-year VA4.32%
This information has been provided by Zillow. See more mortgage rates on Zillow

You can choose between two types of mortgages to determine how much interest you’ll pay and if your rate will change later: a fixed-rate mortgage or an adjustable-rate mortgage. With a fixed-rate mortgage, your interest rate remains the same for the entire life of the loan. If you have a 30-year mortgage, you’ll pay the same rate today as you will 30 years from now. With an adjustable-rate mortgage, commonly referred to as an ARM, rates and monthly payments remain the same for a set period of time, then change periodically. For example, a 5/1 ARM (adjustable-rate mortgage) would have a fixed rate for the first five years of the loan, then change every year after that.

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